electricity market

by ISPI Energy Watch - The current market situation is disappointing for all players in the power generation industry, whether they rely upon conventional or renewable sources, be they subsidized or unsubsidized.
Despite poor market performance, however, some actors can still strike a profit in the electricity industry. Consider the role that RAB – Regulatory Asset Base – plays in regulated business. When a business is regulated, it is not so easy to attract private investment, all the more so when the deal involves assets with a very long life cycle, which require huge investments. Over the past couple of decades, we have observed a wide variety of RAB models, which have been instrumental in attracting significant amounts of capital and channel it towards infrastructural projects.

by Carlo Durante - With around 50GW of installed renewable energy capacity, Italy is one of the core RES (Renewable Energy Sources) countries across the EU with Germany and Spain, now followed closely by the UK and France. In Italy RES went through boom and bust in the past decade, mainly due to the “green bubble” cycle, which attracted new investors. The current situation shows a slower investment pace than in the past due to: a) lower incentives, electricity prices, financial leverage; b) a fragmented asset base; c) disappointed investors due to uncertain and lower than expected returns.